Associated Estates Realty Corporation has announced that its Board of Directors has unanimously approved a definitive merger wherein a real estate fund managed by Brookfield Asset Management will acquire all outstanding shares of common stock of Associated Estates for $28.75 per share in cash. This merger transaction is valued at approximately $2.5 billion which includes the assumption of debt.

Brookfield is a global brand that focuses on asset management with more than $200 billion in assets under management. The company has more than a 100-year history of owning and operating assets. Brookfield also focuses on property, renewable energy, infrastructure and private equity.

Brookfield Property Group, which is the largest investment platform, is made of sector-specific portfolios in the multifamily, office, retail, industrial, and hotel sectors.

Jeffrey I. Friedman, Chairman and Chief Executive Officer, mentioned in an interview “In December 2014, we announced that our Board was undertaking a thorough business review with the assistance of our financial advisor. After analyzing the Company’s strategy, assets and other opportunities, including running a process involving a number of qualified potential buyers, the Board unanimously determined that this transaction is the best course of action to maximize shareholder value. We are pleased that Brookfield recognizes the value inherent in our income producing properties, development projects and the platform we have built. We are also excited that this transaction will deliver compelling, immediate and certain value to all Associated Estates shareholders.”

Associated Estates’ headquarters will still be in Richmond Heights, Ohio. Approvals and Anticipated Closing Completion of the transaction is contingent upon customary closing conditions. The Company will meet to seek the approval of Associated Estates shareholders, and the annual meeting previously scheduled for May 22, 2015 has been postponed indefinitely. The transaction is not contingent on receipt of financing by Brookfield.

Closing is expected to occur in the second half of 2015. First Quarter 2015 Financial Results and Dividend Associated Estates will release financial results for its first quarter 2015 on Friday, May 1, 2015. In light of today’s announcement, the Company will not hold a conference call to discuss its first quarter financial results. The Company intends to pay the previously announced common stock dividend of $0.21 per share on May 1, 2015 to shareholders of record as of April 15, 2015. It does not expect to pay additional dividends prior to the closing of the merger.

About Associated Estates Realty Corporation

Associated Estates is a real estate investment trust and a member of the S&P 600, Russell 2000, and MSCI US REIT Indices. It is headquartered in Richmond Heights, Ohio. Associated Estates’ portfolio consists of 56 apartment communities containing 15,004 units located in 10 states, which include two committed acquisitions with 681 units that are being managed during lease-up and five apartment communities with 1,446 units in various stages of active development. Associated Estates Realty Corporation stock market evolution http://www.marketwatch.com/investing/stock/aec

About Jeffrey I. Friedman

Mr. Jeffrey I. Friedman is Chairman, President & Chief Executive Officer at Associated Estates Realty Corp., a Member at National Association of Real Estate Investment Trusts, Inc., a Member at World Presidents’ Organization, a Member at The Urban Land Institute, a Member at National Multifamily Housing Council, and a Member at Chief Executives Organization. He is on the Board of Directors at Greater Cleveland Sports Commission and Cleveland Clinic. Mr. Friedman was employed as President & Chief Executive Officer by Associated Estates Corp. He received his undergraduate degree from The Ohio State University.

About Brookfield Asset Management

Brookfield Asset Management, Inc. is a Canadian asset management company that manages a global portfolio of total assets under management of $181 billion, invested on behalf of clients. The company is concentrated in property, renewable power, infrastructure and private equity. Brookfield was founded in 1899. It was a company that concentrated as a builder and operator of electricity and transport infrastructure in Brazil. This was evident in the company’s earlier name of “Brascan” meaning “Brasil” + “Canada”). The company provided electricity and tram services in São Paulo and Rio de Janeiro. The company’s major public subsidiaries include Brookfield Renewable Energy Partners, Brookfield Property Partners, Brookfield Canada Office Properties, Brookfield Incorporações, Brookfield Office Properties, Brookfield Residential Properties Inc., Brookfield Infrastructure Partners, and Brookfield Real Estate Services. Brookfield Asset Management, Inc. stock market evolution http://www.marketwatch.com/investing/stock/bam